Your FHSA Calculator
The FHSA is Canada's most tax-advantaged account for first-time buyers — a tax deduction when you contribute, tax-free growth while you save, and a tax-free withdrawal when you buy. No repayment required.
Tax savings = cumulative refunds received from FHSA deductions at your marginal rate. For illustrative purposes.
Deduct it now
Every dollar you put in the FHSA reduces your taxable income — just like an RRSP contribution. Expect a refund cheque each spring.
Grow it tax-free
Invest in ETFs, stocks, or GICs inside your FHSA. All growth — dividends, capital gains, interest — is 100% tax-sheltered.
Withdraw tax-free
When you buy your first home, the entire balance comes out tax-free. Unlike the RRSP Home Buyers' Plan, there is no repayment obligation.
RRSP HBP balance capped at $35,000 withdrawal maximum. Tax savings same rate for FHSA and HBP.
| Feature | FHSA | RRSP HBP | TFSA |
|---|---|---|---|
| Tax deduction | ✅ Yes | ✅ Yes | ❌ No |
| Tax-free growth | ✅ Yes | ✅ Yes | ✅ Yes |
| Tax-free withdrawal | ✅ Yes | ⚠️ Deferred | ✅ Yes |
| Repayment required | ❌ None | ⚠️ 15 years | ❌ None |
| Contribution limit | $8K/yr · $40K lifetime | 18% of income | Room-based |
| Withdrawal cap | Full balance | $35,000 | Full balance |
| First home only? | ✅ Yes | ✅ Yes | ❌ Any purpose |
Annual contribution limit
$8,000 per calendar year
Lifetime contribution limit
$40,000 per person
Carry-forward rule
Unused room carries forward up to $8,000 (max one year)
Eligible age
Must be at least 18 and a Canadian resident
First-time buyer requirement
Cannot have owned a home you lived in during the current year or in any of the preceding 4 years
Account lifespan
Must be used within 15 years of opening, or by year you turn a certain age
If you don't buy
Transfer balance to RRSP/RRIF tax-free, or withdraw (taxable)
Couples
Each partner can open their own FHSA — double the savings and double the deductions
The bottom line
The FHSA is a triple tax advantage
No other Canadian account gives you a deduction going in, tax-free growth, and a tax-free withdrawal — all for the same dollars. If you're planning to buy a home, open an FHSA as soon as possible. Every year you wait is contribution room you can never recover.
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